,,,,,CPS retirees to benefit from pension plans from periodic pension adjustments.
By correspondent in Lagos.
The National Pension Commission (PenCom) has indicated that it is working toward providing public service retirees with incremental pension benefits as mandated by the Nigerian Constitution.
PenCom’s Acting Director-General, Ms. Omolola Oloworararan, made this announcement in Lagos, emphasizing the Commission’s efforts to ensure that retirees under the Contributory Pension Scheme (CPS) and other pension plans benefit from periodic pension adjustments as outlined in the amended 1999 Constitution of the Federal Republic of Nigeria.
The Constitution guarantees retirees the right to regular pension reviews, yet both the Federal Government and the Minister of the Federal Capital Territory (FCT) have not adhered to the five-year review mandate.
The Pension Reform Act (PRA) of 2014 further supports PenCom’s role in regulating, supervising, and ensuring effective pension management in Nigeria, though no specific federal guidelines have been issued for periodic pension adjustments.
The Nigeria Union of Pensioners (NUP) has consistently urged for these Constitutional provisions to be implemented, calling for civil society organizations (CSOs) to consider legal actions in the National Industrial Court of Nigeria to press the government and FCTA to uphold retirees’ rights.
NUP Secretary for Kaduna State, Alhassan Musa, recently expressed dismay over the “pathetic” conditions of retirees, noting that only Kaduna State retirees currently receive a minimum monthly pension of N30,000, a benefit implemented in 2020 during the tenure of former Governor Nasir el-Rufa’i.
Musa expressed hope that the Federal Government would approve a 50% increase to align with the new national minimum wage of N70,000, allowing retirees to receive no less than the new minimum wage.
He called for parity, stating, “If a worker receives a minimum salary of N70,000, let the pensioner receive the same.”
Retirees under the CPS continue to face significant challenges, with some waiting up to a decade to access their benefits.
Musa stressed that delays in remitting contributions have left many struggling, with similar issues affecting retirees across Nigeria.
Constitutional provisions: Pensioners to receive incremental benefits — PenCom.
THE National Pension Commission, PenCom, has given a hint that it is working towards ensuring that public service retirees get pension increments as provided for in the nation’s Constitution.
Acting Director General of PenCom, Ms Omolola Oloworararan, gave this hint in Lagos.
Among others, Ms Oloworararan, said “We are working to ensure that pensioners under the CPS and other pension arrangements benefit from pension increments provided for in the Constitution of the Federal Republic of Nigeria, 1999 (as amended).”
The 1999 Constitution of the Federal Republic of Nigeria (as amended) guarantee pensioners’ rights to periodic reviews of their pensions ¹. Unfortunately, the Federal Government and the Minister of the Federal Capital Territory Abuja have not fulfilled their duties to review pensions every five years as required by the Constitution.
The Pension Reform Act (PRA) 2014 objects, functions, and powers include regulating, supervising, and ensuring the effective administration of pension matters and retirement benefits in Nigeria.
PenCom is yet to issue specific regulations, directives, or rules respecting the review of pensions for federal government employees or the FCTA.
The Nigerian Union of Pensioners, NUP has been clamouring for the Constitutional provisions to be implemented.
Increasingly, there are pressures for non-state actors, especially civil society organisations, CSOs, to institute public interest claims before the National Industrial Court of Nigeria to ensure that the Federal Government and the Minister of the FCTA perform, through PenCom and the Pension Transitional Administration Department, PTAD, respect the Constitutional Provisions.
Recently, NUP Secretary in Kaduna State, Alhassan Musa, described the condition of the retirees as “pathetic”.
Musa, who is also the NUP secretary in charge of the 19 Northern states and the North-West, however, said only retirees in Kaduna State were earning N30,000 minimum pension monthly.
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The secretary recalled that the Kaduna state governmnet in 2020 implemented N30,000 minimum pension during the administration of Governor Nasir el-Rufa’i.
According to him, “The union proposed a 50 per cent increment even under the defunct N30,000 national minimum wage.
“We are anticipating that the 50 per cent increament would be approved in line with the new N70,000 national minimum wage. Even under the Federal Government, some pensioners are receiving N10,000 minimum pension.
“We are hoping that the Federal Government will balance it up so that no pensioner will receive less than N70,000 as his/her monthly pension. “Let pensioners also enjoy the same benefits the workers are enjoying. “If a worker is receiving N70,000 minimum salary, so, let the pensioner enjoy the same.
Musa said workers who retired under the contributory pension scheme, CPS, were facing formidable challenges, noting “Honestly, these people are facing a lot of challenges because some of them retired in the last 10 years, and yet to draw their benefits.
“It is really pathetic, this is happening in Kaduna and other states.
“Even under the federal government, those who retired under the contributory pension scheme are suffering as their accruals are yet to be remitted into their accounts.
Vanguard News
Edited by Dada Ahmed.
